This article looks at a category of investors called business angels. We provide a detailed list of the most prolific angel investors who are interested in Ukrainian startups.
In their early stages, startups are often limited by the funding available to them. Founders usually use their personal savings and loans from family and friends. As their startups progress and require a constant flow of funds for innovation and growth, founders often start looking for angel and other early stage investors.
Fundraising for startups occurs in stages. It starts with the personal contacts of the founder, moves to angel investors, and continues to venture capitalists. Angels are the first external funding source for a startup.
Why do startups prefer angel investors?
Angels invest in early-stage startups in exchange for a stake in the company. They are also known as Private Investors, Pre-Seed Investors, Informal Investors, or Business Angels. Angel investments are mostly one-time investments and are aimed at facilitating the launch of a startup.
Unlike venture capitalists who usually come at later stages of financing needs, angels help startups take their first steps. Angel investors offer a unique mix of funds and personal experience.
How to find an angel investor?
Let’s take a look at some tips on how to find angel investors. Good angels:
- Are ready to hold investments for at least 5 – 7 years.
- Have successful startup experience.
- Are passionate about mentoring and want to be part of an up-and-coming startup.
- Participate in networking.
- Have active websites and social media profiles.
Angel investors actively financing Ukrainian startups in the last five years
In our list of active investors we provide a quick overview of the investment profile of each angel. The main criteria for the inclusion in our list included the number of investments in Ukrainian startups in the past five years, social activity and presence, and the number of startup education activities in the past year.